I am very new to Premiere, but I understand that when you convert a file it needs to have similar dimensions or you loose quality. I am trying to edit an AVI file to cut out some parts, and then re-encode the file as an MP4. If I import the file into Premiere and immediately export it to an MP4 the quality is perfect. I can read the text perfectly. If I edit out any part of that video and export it again the quality is terrible and blurry.

Original AVI

1920 x 1080

Bitrate 10,000kbps

30fps

Export MP4

1920 x 1080

Bitrate 5000kbps

30fps

The only thing i changed was to edit part of the clip. Any idea if this is a bug, or is there a setting change I should look at. Remeber I change nothing other than editing out part of the clip.

Once you know exactly what it is you are editing, report back with that information... and your project setting, and if there is a red line above the video in the timeline, which indicates a mismatch between video and project